Nvidia shares fell sharply on Thursday after co-founder Jensen Huang resigned as chief executive, ending his 33-year tenure. His departure followed reports about his personal relationships and alleged shipments of Nvidia chips linked to China, adding uncertainty around the company’s leadership.
Nvidia (NVDA) shares fell 8.13% to $159.61 at 9:39 a.m. EST, losing $14.13, according to Yahoo Finance data. The decline pushed the company’s market value below $4 trillion.
Colette Kress Takes Interim Leadership
Nvidia appointed Chief Financial Officer Colette Kress as interim chief executive while its board searches for a permanent successor. Board Chair Harvey Jones expressed confidence in Kress and the leadership team, saying the transition would not disrupt operations, customer commitments or the product roadmap.
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“The Board has full confidence in Colette and the leadership team,” Jones said.
Huang co-founded Nvidia in 1993 and owns 3.61% of its shares. He will also leave the board.
Investigation and Market Fallout
Nvidia’s board launched an independent investigation following reports linking Huang to Alice Huang, a former Megaspeed executive. U.S. authorities suspect she helped arrange shipments of Nvidia chips to Chinese companies. China has rejected the espionage allegations.
Blockchain analytics platform Lookonchain also reported that trader 0x7368 had a leveraged Nvidia stock position liquidated. The forced closure involved 9,959 shares valued at approximately $1.54 million.
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